Bitwise executive predicts institutions to pour $1T into Bitcoin during a ‘raging bull market’

Institutional investors are expected to pour approximately $1 trillion into Bitcoin (BTC) through exchange-traded funds (ETFs) as they cautiously enter the crypto market, according to Bitwise’s chief investment officer, Matthew Hougan. Hougan addressed concerns over Bitcoin’s price volatility in a memo to investment professionals, advising them to remain calm and take a long-term view. While Bitcoin’s price may be unstable in the short term, Hougan highlighted several upcoming events that could drive its growth. These include the Bitcoin halving and the anticipated approval of spot Bitcoin ETFs on major national account platforms like Morgan Stanley or Wells Fargo. However, Hougan noted that investment committees and consultants are still conducting due diligence on Bitcoin before diving into the asset. He believes that the price of BTC will likely fluctuate in the near future but expects a different outcome in the long run. Hougan stated that the approval of spot Bitcoin ETFs in January opened up the crypto market to investment professionals on a large scale. He also emphasized that the move of trillions of dollars by investment professionals into crypto will take years rather than months. Hougan pointed out that the $12 billion already invested in ETFs since their launch is a remarkable achievement, but once global wealth managers allocate just 1% of their portfolios to Bitcoin, it would result in a staggering $1 trillion inflow into the crypto space.